Suncorp Metway Limited

A few subscribers have sent us emails about this stock and it's a great case study for our approach to investing. Space doesn't permit a detailed analysis of the recent half-year result but let us explain our broad view. This is an exceptionally well-managed company operating fine businesses in which it has strong competitive positions. Investors were put off by a somewhat disappointing profit result but this really is a short-term factor. Eventually, long-term results drive the share price, not temporary hiccups. We have no doubt that shareholders in this company will be wearing big Suncorp smiles in a few years time. The lower the share price goes, the better. It provides a great opportunity to add to your holdings. BUY.